Singapore legislation
Clause 63
Clause 63
Appointment and removal of chief executive and other persons
(1)
Every designated financial holding company shall have a chief executive who is principally responsible for the management and conduct of the activities of its FHC group.
(2)
No designated financial holding company shall appoint a person as director, chief executive or to such other position in the company as may be prescribed, unless —
the designated financial holding company satisfies the Authority that the person is a fit and proper person to be so appointed; and
the Authority has approved the appointment.
(3)
The Authority may grant its approval under subsection (2)(b), with or without conditions, and may at any time add to, vary or revoke any condition imposed.
(4)
A designated financial holding company shall immediately inform the Authority where the designated financial holding company is of the view that a person appointed under subsection (2) is no longer a fit and proper person for the position to which that person was appointed.
(5)
Notwithstanding any other written law, where the Authority is satisfied that a person so approved under subsection (2) —
has wilfully contravened or wilfully caused the designated financial holding company to contravene any provision of this Act;
has, without reasonable excuse, failed to secure the compliance of the designated financial holding company with any provision of this Act, the Monetary Authority of Singapore Act (Cap. 186) or any of the written laws set out in the Schedule to that Act; or
has failed to discharge any of the duties of his office,the Authority may, if it thinks it necessary in the public interest or the interest of the FHC group concerned, direct the designated financial holding company to remove the person from office or employment within such period as may be specified by the Authority in the notice, and the designated financial holding company shall comply with the notice.
(6)
Without prejudice to any other matter that the Authority may consider relevant, the Authority shall, in determining whether the person so approved under subsection (2) has failed to discharge the duties of his office for the purposes of subsection (5)(c), have regard to such criteria as may be prescribed.
(7)
Before directing a designated financial holding company to remove a person under subsection (5), the Authority shall —
give the designated financial holding company and the person, notice in writing of its intention to do so; and
in the notice referred to in paragraph (a), call upon the designated financial holding company and the person to show cause, within such time as may be specified by the Authority in the notice, why the person should not be removed.
(8)
If the designated financial holding company and the person referred to in subsection (7) —
fail to show cause within the time specified in a notice issued under subsection (7) or within such extended period of time as the Authority may allow; or
fail to show sufficient cause,the Authority may direct the designated financial holding company to remove the person under subsection (5).
(9)
Any person who is aggrieved by a direction of the Authority under subsection (5) may, within 30 days after receiving the direction, appeal in writing to the Minister whose decision shall be final.
(10)
Any designated financial holding company which contravenes subsection (1) or (2), or fails to comply with any condition of approval imposed under subsection (3), shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000.
(11)
Any designated financial holding company which contravenes subsection (4) or (5) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $250,000 and, in the case of a continuing offence, to a further fine not exceeding $25,000 for every day or part thereof during which the offence continues after conviction.
(12)
No criminal or civil liability shall be incurred by a designated financial holding company, or any person acting on behalf of the designated financial holding company, in respect of anything done or omitted to be done with reasonable care and in good faith in the discharge or purported discharge of the obligations of the designated financial holding company under this section.